Louis Hedgecock's company is going to the right place at the right time.

In March, design firm BBG-BBGM will trade its longtime Madison Avenue digs for a 30,000-square-foot, light-drenched floor in the Empire State Building, which is getting a $500 million makeover. The iconic skyscraper is on a corridor that's attracting important office and retail tenants, and slated upgrades will make the area's transportation and entertainment facilities world-class.

"We think it's a good time to get in on the ground floor of a changing neighborhood," says Mr. Hedgecock, managing partner at BBG-BBGM.

Many businesses are on the same page. Last year, Starbucks signed a lease in the Empire State Building—whose revamp will include a new lobby, windows and elevators, and reconfigured floors to accommodate larger tenants—for what will be its biggest location in the city.

Skyrocketing rents

The project signals the revitalization of an important gateway neighborhood. If plans announced this year come to fruition, the Penn Station area may become one of the most active in the city.

Retail rents along 34th Street have skyrocketed in the past two years, to as much as $800 a square foot. Arrivals in 2007 included Bebe, the stylish women's clothier, and surf-wear shop Billabong. J.C. Penney leased a 150,000-square-foot store at the nearby Manhattan Mall, on Sixth Avenue between 32nd and 33rd streets.

At year-end, Jeff Sutton, the owner of 27 W. 34th St. and 29 W. 34th St., began demolishing both properties to make way for two three-story buildings, one of which will be leased entirely by shoe company Geox. According to real estate insiders, Apple is putting up a two-story building on 34th Street, though it is unknown whether the company will occupy or sublease the property.

Other major players buzzing around the neighborhood include Nordstrom, which has reportedly looked at several locations, and Merrill Lynch, which is considering the Hotel Pennsylvania as a headquarters site.

On the screen

"[34th Street] has just gotten more on everybody's radar screen because there's not a lot of space available," says Jeffrey Roseman, executive vice president of Newmark Knight Frank.

It's just the beginning. Penn Station's transformation has been inching toward reality for years. In 2007, those plans were folded into a more ambitious, $14 billion redevelopment proposal. It includes a Moynihan Station within the James A. Farley Post Office building and a new Madison Square Garden within Farley's western annex.

I'm really glad that someone has finally decided to sink some money into the ESB... the last time I was there, I was disgusted how the building had been allowed to deteriorate... the fans up on the 80th floor, where the skylobby is, in lieu of air conditioning are a shame, too.

The ESB has slowly been getting upgrades, as tenants move out. The building's iconic status will never be in doubt, regardless of whether anything taller gets built in Midtown. In many ways, the Empire State Building is New York.

__________________NEW YORK. World's capital.

“Office buildings are our factories – whether for tech, creative or traditional industries we must continue to grow our modern factories to create new jobs,” said United States Senator Chuck Schumer.

Was just in NYC, and walked by the Empire State for the first time in a few years (I go to NYC once or twice a year, not near the ESB usually, though). Unimpressed by the retail at the bottom.. I would think they could do much better than those low end stores. Would be nice if they could attract higher end clients (I think it would be neat if a major department store could occupy the space, like Nordstrom or Neimans but that might not be feasible given the layout of the building?)

Unimpressed by the retail at the bottom.. I would think they could do much better than those low end stores. Would be nice if they could attract higher end clients (I think it would be neat if a major department store could occupy the space, like Nordstrom or Neimans but that might not be feasible given the layout of the building?)

That's correct. But what's also taken into consideration is the location of the ESB. The ground floor tenants are in sync with the rest of the area. Nothing trashy, but not too upscale.

__________________NEW YORK. World's capital.

“Office buildings are our factories – whether for tech, creative or traditional industries we must continue to grow our modern factories to create new jobs,” said United States Senator Chuck Schumer.

It was the very first true Supertall, a brilliant feat of design and engineering that defined what an impressive skyscraper is, that all other cities aspire to immitate or surpass. Considering when it was built, the sublime example of architecture it is, and its fame, I'm astounded it didn't make that "7 Modern Wonders" list that came out this year. (Come to think of it, that the Statue of Liberty was omitted is astonishing, too, even if only considering what it represented to tens of millions from all over the world. Indeed, one could probably come up with a credible list of Seven Wonders that are ALL in New York: Central Park, the Brooklyn Bridge, the new World Trade Center all come to mind... )

The most astonishing thing to me is the length of its title as a world supertall. I can't believe it's almost 80 years old, so ahead of its time. I'm glad theyh commenced restoring this beauty. I hope they really tackle the antenna. It's almost shameful to see it now compared to the original.

Most of it has already been in the works over the past few years. But the most important aspect of it is the consolidation of space (the ESB has many small tenants) to attract they type of tenants that require large chunks of space. Approval was already given for restoration of the lobby.

Beyer Blinder Belle to Restore Empire State Building Lobby
Work will begin with the historic gold- and silver-leaf ceiling mural.

by Meaghan O'Neill
Interior Design · April 6, 2007

Soaring nearly 1,500 feet above Midtown Manhattan, the Empire State Building touts breathtaking views and attracts million visitors annually. But at 75 years old, even “the world’s most famous office building” needs some T.L.C., especially if wants to keep attracting new tenants. To that end, recent upgrades have been made to the building’s infrastructure and, now, public areas. Currently, a comprehensive restoration and revitalization of its famous Art Deco lobby is underway.

Originally designed by Shreve, Lamb and Harmon, the space will be spruced up by world-renowned Beyer, Blinder Belle Architects & Planners. The firm—which has previously revitalized national landmarks such as Grand Central Terminal and the Ellis Island Museum of Immigration in New York, the Merchandise Mart in Chicago, and the U.S. Capitol in Washington, D.C.—will work to restore the lobby’s original historic character. A number of features, finishes, and distinctive architectural details obscured by alterations over time will be restored or recreated. At the same time, the firm will help improve the structure’s operations as a modern office building.

Current plans include the restoration of the lobby’s historic ceiling mural, which depicts a celestial sky rendered in gold and silver leaf; it was fully covered by a drop ceiling with fluorescent lighting installed during the 1960s. Working with art conservation consultant EverGreene Painting Studios and lighting designers Light Projects Group, Beyer Blinder Belle has already accurately recreated a portion of the damaged original mural. In addition, the plan calls for the replacement of the lobby’s original incandescent uplighting fixtures with modern, energy-efficient fixtures and supplemental downlights, which would meet contemporary requirements and create a historically accurate effect.

Beyer Blinder Belle will also address planning and design issues throughout the lobby’s street entrances, corridors, retail spaces, and elevator bank areas, including a visitor desk and revamped pedestrian circulation as well as security features and improved signage.

__________________NEW YORK. World's capital.

“Office buildings are our factories – whether for tech, creative or traditional industries we must continue to grow our modern factories to create new jobs,” said United States Senator Chuck Schumer.

"Current plans include the restoration of the lobby’s historic ceiling mural, which depicts a celestial sky rendered in gold and silver leaf; it was fully covered by a drop ceiling with fluorescent lighting installed during the 1960s."

Covered up by a drop ceiling, for God's Sake! What the hell were people thinking of back in the '60s? Same decade they tore down Penn Station, too. The change in mentality from the glory days of New York Art Deco to the '60s is just astounding... thank goodness the pendulum's swung back the other way.

I don't mind the antenna atop the mast, but do wish they would do a lot of restoration on the mast proper... it's just a shame to see it looking like a beat up old refrigerator rusting at a town dump somewhere...

That's the drop ceiling they're talking about removing. If the ceiling mural is anything like the one those gold ones in the side corridors, it should be a breathtaking restoration! One wonders who the enterprising purveyor of modernist good taste was that thought this would be an improvement over a glorious Art Deco ceiling mural!

"Current plans include the restoration of the lobby’s historic ceiling mural, which depicts a celestial sky rendered in gold and silver leaf; it was fully covered by a drop ceiling with fluorescent lighting installed during the 1960s."

Covered up by a drop ceiling, for God's Sake! What the hell were people thinking of back in the '60s?

Hey, it was the 60's...

__________________NEW YORK. World's capital.

“Office buildings are our factories – whether for tech, creative or traditional industries we must continue to grow our modern factories to create new jobs,” said United States Senator Chuck Schumer.